This policy explains how Sark sets the interest rate and other charges on its loans.
Current rates
| Product | Solar subsidy bridge loan |
|---|---|
| Interest rate | 14% a year |
| Processing fee | 1% of the loan amount, charged once |
How we set rates
The interest rate on a loan reflects:
- our cost of borrowing funds
- the cost of running the business, including sourcing and servicing loans
- the credit risk of the borrower, based on credit score, repayment history and income
- the loan amount and tenure
- a reasonable margin
Two borrowers with the same loan can therefore get different rates. The rate you get, and the reasons behind it, do not change during the loan unless your loan agreement says so.
Transparency
- Before you sign, the Key Fact Statement shows your rate, the annual percentage rate (APR) and every charge.
- We do not charge anything that is not in the Key Fact Statement.
- We publish changes to this policy on this page.